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Why Don’t You Release Me? Release Encompassing All PIP Claims Applies to Claims With Executed Assignment of Benefits

Motor Vehicle Litigation / April 8, 2021

Physiatry and Rehab Associates v State Farm Mutual Auto Insurance Company places the burden on providers to timely file lawsuits or to intervene in the main PIP cases timely. The decision of the Court of Appeals in the instant case will limit a provider’s strategy in filing its own suit or intervening in the main PIP suit. Providers will not be rewarded for sleeping on their rights as assignee.

Physiatry and Rehab Associates provides a strong argument and case for a motion for summary disposition for provider suits filed long after PIP lawsuits are filed. It is also important for defense attorneys to draft releases with this specific language and to be diligent about raising the res judicata arguments in provider suits.

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